Pendle Finance

Pendle Finance is a decentralized finance protocol that makes the future yield of yield-bearing crypto assets tradable as a separate asset. Launched on mainnet in 2021, the protocol splits an asset such as staked ETH or an interest-bearing stablecoin into two parts until a set maturity: a principal token (PT) and a yield token (YT).

At maturity PT converts into the underlying asset itself and, when bought at a discount today, produces a result similar to a fixed return; YT entitles its holder to the yield generated until maturity. These tokens trade on Pendle's own automated market maker. The protocol has also developed a separate product called Boros, aimed at trading yields such as funding rates in futures trading.

The PENDLE token is used in protocol governance and in a staking mechanism through which fee income is shared; it is available on various networks such as Ethereum, Arbitrum and Base. On Lzzo.com, the Pendle price is shown by converting the Binance PENDLE/USDT pair into dollars using the Coinbase Exchange USDT/USD rate; it is for information.